Termination for just cause: find out what it is and how it works for companies and employees

Termination for just cause: find out what it is and how it works for companies and employees

Table of Contents

One of the main concerns of an employment contract, in particular that governed by the CLT (Consolidations of Labor Laws), is the protection of workers' rights. However, in a termination for just cause, for example, there are several doubts on the subject.

When starting a new job and signing the contract, the professional starts to follow a series of rules and also has several benefits provided by law, in addition to the additional ones offered by the companies.

However, the contractor also has his rights and duties clearly expressed in the CLT. In addition, any employment relationship must be registered in the professional's work card.

A duty of the employer, for example, is the obligation to pay advance notice, overdue and proportional vacations, 13th salary, FGTS (Length of Service Guarantee Fund) and a 40% fine for the employee dismissed without cause.

However, CLT also provides protection to the employing company, since the employee does not comply with his duties provided for by law. It is the case of termination for just cause, which occurs when there is a serious fault of the worker.

In general terms, being fired for just cause is a penalty for breaking a rule. We will address this item provided for in the labor laws and understand the employee's right to termination for just cause. In this article, you will learn:

  • Which is termination for just cause?;
  • Because the termination for just cause is it foreseen in the labor laws ?;
  • When the termination for just cause can it be used ?;
  • What is the employee's right to termination for just cause?

So, come on!

What is just cause termination?

Any action by the employee that culminates in the termination of the trust between employee and employer is considered a just cause. Therefore, the company decides to interrupt the contract with a specific professional in its staff.

Despite being a employment contract, it is not only the actions carried out within the company that can result in the termination for just cause. The employee's personal conduct is also likely to impact the relationship with the employer.

Heads up! To carry out the justified dismissal, the company needs to make sure that the act responsible for the breach of trust fits into the parameters determined by the CLT. That is, only one occurrence that has displeased the leadership it is not enough for this type of contract cancellation. He must have, in fact, made a serious mistake.

Why is termination for cause justified in labor laws?

As we said earlier, the employment contract exists to formalize the rights and duties of both the employee and the employer. In this way, a balance is established in this relationship.

Thus, when signing an employment contract, the law guarantees that workers receive their rights under the ideal conditions to exercise their function. In return, comply with your obligations.

Simply put, the termination for just cause serves to protect the contractor.

When can just cause termination be used?

Each employment contract will have its peculiarity, depending on the role performed by the professional and the branch of the company. However, some rules of conduct, which can determine the employee's right to terminate for a just cause, are provided for in article 482 of the CLT.

Formalized in labor laws, both employer and employer are legally protected if either party acts in bad faith.

It is common for people to mistakenly think that only very serious attitudes can generate dismissal for cause. However, actions taken outside the professional environment are also included in the CLT.

Companies can terminate a contract for just cause in the following cases:

  • Act of impropriety, when acts contrary to honesty and good faith are committed;
  • Incontinence of conduct or bad procedure, such as disrespect for co-workers or embarrassment and humiliation;
  • Independent negotiation, without the employer's permission, and the fact that it creates competition for the company and impairs the service.
  • Criminal conviction when the employee has no legal remedy;
  • Neglect in the performance of their duties, such as the fulfillment of the workload, unjustified absences, among others;
  • Drunkenness, even if the employee has not drunk alcohol in the workplace;
  • Share confidential and privileged information about the company or customers;
  • Insubordination;
  • Quit job without justification, for 30 days;
  • Injury against any person, or any type of physical offense;
  • Actions that harm the company with the market and customers, except when proven self-defense;
  • The successive performance of games of chance, even if performed outside the work environment;
  • Inability to perform the profession, as a result of employee misbehavior. For example, when a doctor has his CRM revoked.

This last item was recently included by Law No. 13,467, in the 2017 labor reform, and completes the vast list of attitudes that give employers the right to termination for just cause.

Rules and analysis on termination for just cause

It is essential that every contracted professional has knowledge of the rules that he must comply with and the implications if he fails to comply with them.

However, for the process to be finalized, it is necessary to prove in an administrative inquiry that there was a serious misconduct on the part of the worker.

Even though it is provided for in the law, the employee's dismissal for just cause needs to be well thought out by the company.

It is worth investigating the seriousness of the act committed by the employee and, given the possibility, apply other actions, such as warnings and fines, before termination for just cause.

For this reason, many human resources teams create specific rules such as the maximum number of recurrences of the offense committed.

Another important rule is that when the responsible person is informed about the act performed by the worker, the dismissal for just cause must occur immediately after the facts are verified.

This means that the company cannot terminate a contract for just cause when the irregular act has occurred in the past.

For example, the employee was absent for 30 days, but the company decided not to fire him. However, three months later the company wanted to dismiss him for cause. In this case, the termination for just cause it is not allowed and the company will have to bear all the rights of the employee.

What is the employee's right to termination for cause?

When dismissed for committing a serious misconduct, many employees believe that they lose the benefits provided for in the CLT. But, once they are registered in this type of employment contract, labor laws protect the employee even in the termination for just cause.

See below which benefits the employee has the right to receive in just cause cases:

  • Balance of salary for days worked;
  • Holidays expired and plus one third of the full amount.

In cases of dismissal for cause, the company is not obliged to pay the amounts corresponding to:

  • Proportional vacation;
  • Thirteenth.
  • Early warning;
  • FGTS collected during the period of service.

The amount referring to FGTS discounts is retained and may be withdrawn three years after the employee leaves the company.

Heads up! The employer cannot register the reason for the dismissal for just cause in the employment card. This rule protects the worker from future inconvenience.

Do you know what are the biggest differences between a normal contract termination and one due to just cause? Read too: I was fired, what will I get? and get to know all the rights of the UK residents worker, before the CLT.

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